VIETNAM MOTOR INDUSTRY
The automobile industry in Vietnam currently largely stops at simple assembly with an average localization rate of about 10%. To promote domestic automobile production, the Government has issued Decree 116/2017 / ND-CP to create new development opportunities for domestic enterprises instead of falling behind imported cars. According to the General Statistics Office, in the first 9 months of 2019, the number of cars produced and assembled nationwide increased compared to the same period in 2018.
The market access of VinFast is expected to promote the development of the domestic automobile manufacturing and assembly industry, increasing the localization rate and reducing the dependence on imported cars.
According to the Vietnam Automobile Manufacturers Association (VAMA), in the first 9 months of 2019, sales of the whole car market increased compared to the same period in 2018. Ranking of 10 best-selling cars in the market. There have been many changes in rankings compared to 2018. However, it can be seen that the rankings in the first 9 months of 2019 still have the main contribution coming from domestic manufactured and assembled vehicles with 8/10 models. .
The total number of CBU imports in the first 9 months of 2019 has increased more than 8 times in quantity and more than in value over the same period in 2018. It can be seen, after a continuous decline from 2016- In 2018, due to the impact of the supply market, barriers from the domestic decree on imported cars, Q3 / 2019 recorded the best growth of imported cars in the past few years when the number of imported cars in 9 months. The beginning of the year is nearly equal to the whole of 2018.